Diesel prices expected to go up by over P2 this week

Updated Aug 22, 2022

Same topic: Latest Consumer Reports

The seven-week streak of fuel price rollbacks has been broken.

After seven straight weeks of rollbacks, fuel prices are poised to shoot up this week, with diesel expected to increase by more than Php 2 per liter. 

PH Fuel Watch has announced an increase in prices of diesel and gasoline

Fuel price watchdog PH Fuel Watch made the announcement on its Facebook page, estimating a Php 2.50 to Php 2.80 price hike per liter for diesel while gasoline is slated to increase by Php 0.40 to Php 0.70 for every liter. As with its previous advisories, PH Fuel Watch says that the final prices will depend on the station and location. 

A separate Facebook post by Cleanfuel pegs the increase at Php 0.70 per liter for gasoline and Php 2.60 per liter for diesel. These are also the prices announced by Seaoil for its own petroleum products, with the addition of a Php 2.80 per liter increase for kerosene. 

The news comes as most schools resume face-to-face classes after two years. The Land Transportation Franchising and Regulatory Board (LTFRB) has recently reopened more public transport routes that were previously suspended due to the pandemic. 

Cleanfuel advised its price increase in a separate advisory

Industry sources say that demand for oil has started to pick up again. Worldwide use of the resource previously fell in recent weeks, caused by extended lockdowns in China and fears of a global recession. 

A report by Reuters said that crude oil prices rose by an average of 1.5 percent, as U.S. crude exports reached 5 million barrels a day. According to the U.S. Energy Information Administration (EIA), this was the highest on record. Benchmark U.S. West Texas Intermediate (WTI) traded at a steep discount, making U.S. crude more attractive to buyers. 

Gasoline stocks drew 4.6 million barrels, up from the expected 1.1 million, showing signs of strong demand. Despite sanctions brought about by its invasion of Ukraine, Russia has begun to increase oil output as Asian buyers have increased purchases. Its energy exports are expected to rise 38 percent this year.    

Keep tabs on fuel price movements at Philkotse.com

Joseph Paolo Estabillo

Author

Joseph holds a degree in Journalism from the University of the Philippines Diliman and has been writing professionally since 1999. He has written episodes for CNN Philippines' motoring show Drive, and has worked on corporate projects for MG Philippines and Pilipinas Shell. Aside from being Philkotse.com’s Content Lead, he also writes content for numerous car dealerships in the U.S., spanning multiple brands such as Alfa Romeo, Chrysler, Dodge, Jeep, and Maserati, among others.

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